Tuesday, April 24, 2007

Two "national champions", Minister?

MAS and AirAsia. Chan Kong Choy spoke yesterday of Malaysia creating "two national champions" after witnessing the signing of a deal in which AirAsia's Long Haul may buy up to 15 Airbus 330-300s for US$2.6 billion for its budget long-haul flights from September this year. The Transport Minister said the government will ensure equal route distribution between AirAsia and state-owned Malaysia Airlines to create two successful "national champions." [read here]
I usually ignore the rhetorics of politicians, but this minister must think we are all fools all the time. In many countries, producing one "national champion" in the aviation sector remains a dream. In Malaysia, at the rate we are going with AirAsia and MAS, I can see only ONE winner. I may wrong, but let's see.


  1. Anonymous8:58 am

    Hello Bro,

    Once again you may have inadvertently promoted the winner here. Somebody (not sure if it was you) did the same thing with the developer of batu kawan - just see how the share price sky-rocket now, hehe..

    Anyway we should all know by now that ministers are champions of rhetorics. Just see how hollow they sound at the current corruption conference.

    And it's reported to-day that more than 20,000 tourists (can fill a football stadium) are moving around in the country with expired tourist visa - no wonder vmy is deemed successful!

  2. Anonymous9:48 am

    Rocky, you are right about rhetorics and politician thinking we are fools. First, Chan Kong Choy is a politician to his true nature; and only second to his ministerial portfolio.

    Whether we can be taken as fools, at least you and me are not. I don't know the rest of the others. For one, MAS has a track record, more successes than failures?? Airasia is doing well but for how long. Even if theoretically they can be champions, nothing is permanent, and for how long (as champions). For that they need a "tip top" corporate culture to stay on top. Sucess has its problems. So the bottomline is whether the Minister of Transport is "talking shop" or political rhetorics...is crystal clear. Birds of a feather chirp together. Maybe fly together for all we know. But interestingly, within his political rival circle, the Minister of Transport is also known as (in Cantonese), "tai zet kong". Meaning, "big talk, talk big...hollow talk" (sound with no substance). The verdict is yours!

  3. Anonymous10:08 am

    Malaysia Boleh.....


  4. Anonymous10:56 am


    like u said earlier, tony know what he wants. and he always get what he wants.

    so, the episode continues...


  5. Bro Rocky, u r certainly right! I have no doubt whatsoever. We are being fooled evrytime, all the time by their rhetorics and antics.

    Malaysia Airlines is heavily under the guardian of the Government. It supposedly to collapse long before and now they are talking about being a champion.

    Politicians must be talking from their knees.


  6. You are right, there are no room for 2 national heroes. Only the fittest will survive and that looks very much like AirAsia. MAS can show good numbers now because they have just cut their excessive fat.

  7. Anonymous2:34 pm

    Champion....for terminating Pregnant Stewardesses (14 years experience at least)
    Champion.....for asking for RM2billion
    Champion .....for sending local artiste abroad on their expense
    Champion.....for practising promotions by _ _ _ _
    Champion.....for selling of their assets.....

    Any guess tho who this champion might be?

    Oh as for the other champion...ITS A BUDGET AIRLINE! Don't expect them to call you for their flight delay...because they don't have the budget to call you!

  8. Our ministers may be very incompetent in doing their work but you have to give them one thing. They are hillarious when they joke.

    Jim Carey move over here comes Chan Fun Nie.

  9. Au contraire, Rocky, the minister was playing his favourite game and not partaking in rhetorics. I think he was playing politics. The problem with us human is that not many of us are willing to admit that we are licked, when we are licked. And so, instead of admitting that we are screwed, we go into a denial syndrome mode. Which is what this bleeding Administration did; as did the previous one on one occasion too many.

    I would have thought that, as we are all hot into free market economy, Jala and Fernandez would be allowed to lead and manage the respective airlines into finding their market niches with as little 'hint hint wink wink' comment as possible. But no, he must, in a manner of speaking, interfere and in so doing, exert the almost unseen pressure of the Executive to indeliably influence the two airline big wigs.

    So Rocky, I think you are right; one of them is going to bleed. And we know which one, don't we?

  10. Anonymous4:07 pm

    Champion or hero,if either came out from behind their mother's apron they'd be pulvarised.

  11. Anonymous4:48 pm

    Why don't gov let these 2 companies decide what they want e.g where they want to fly, the fare...?? low cost airline with expensive tax etc, I don't think so..

    I still choose MAS for service..and I'm willing to pay for it...

  12. Anonymous5:39 pm

    But Bru in Malaysia everybody's a hero. We're a nation of anugerah. A person could be as blind as a bat about IT and the economy, yet some apple-polishing, ball-carrying minister would still award him anugareh Bapak K-Ekonomi. I'm not sure if K stands for knowledge or kleptomania -- like curi bini orang. The Transport Minister wants free ride on both airlines. That's all. And we are taken for suckers. Malays are worth RM100 in Ijok, Indians RM1,000 and Chinese RM10,000 per vote.

  13. Anonymous6:23 pm

    If left to compete openly,the answer is obvious.

  14. Anonymous6:41 pm

    I believe Rocky is referring to Air Asia being the only winner. I do not think MOT is willing to go against the wishes of certain people in stopping this red onslaught.

    We have to be practical here. MAS is in the process of massive change. The new MD have brought tremendous changes into the mindset, but it will take time. We cannot be too narrow in our thinking, just because it's a personal issue to some.

    What ever it is, MAS remains the only true national champion, in the mould of Petronas and other Malaysian giants.

  15. Bro,
    Only in Bolehland we can have 2 champions...2 Juara Kampongs !OOOoooiiii ! Mr. Minister wake up ...as a matter of fact wake everybody up lah ! What kind of moron will think of 2 No 1's !!Being 2nd means the best loser !!
    No wonder we have decended to this shit hole...our habit of making morons look like world champions.Maybe we ARE world CLASS MORONS !...right Mr. Minister ???

  16. Bro,
    Only in Bolehland we can have 2 champions...2 Juara Kampongs !OOOoooiiii ! Mr. Minister wake up ...as a matter of fact wake everybody up lah ! What kind of moron will think of 2 No 1's !!Being 2nd means the best loser !!
    No wonder we have decended to this shit hole...our habit of making morons look like world champions.Maybe we ARE world CLASS MORONS !...right Mr. Minister ???

  17. Anonymous6:56 pm


    You hit the nail on the head when you said that the Minsiter of Trnasport was dreaming.

    However, I do not think that he was dreaming. He is fully aware of what are going on in the aviation industry. Chan Kong Choy was aware that the government leaned over backward to help Air Asia at the expense of MAS.

    First and foremost, the government should not bother about Air Asia becuase it is a privately owned airline. Unlike MAS, it is our national carrier. Secondly, why must the government had to specially build the Low Cost Terminal for Air Asia with tax payers monies.

    What is so special about Air Asia? The government should lease the land to Air Asia and let Air Asia build their own terminal at their own cost. Why the tax payers had to sponsor Tony Fernades and company?

    Bearing in mind that Air Aisa is privately owned, the Ministry of Transport should stop dancing to the tunes of Tony Fernades and company. The Minister of Transport should monitor the activities of Air Asia to protect public interests - should ticked off Air Asia for being costantly late in departing.

    Air Asia has been making all kinds of public statement to prop up its image. For examples:
    1. Early this year Tony Fernades announced that Air Asia has joined its operation with Sir Richard Brenson and it was immmediately (the next day) denied by Sir Richard Brenson. But Tony Fernadnes did not clarify this or put right this misinformation.
    2. Tony Fernades said that Air Asia will be flying to new detinations in UK by March 2007. Until this day, Air Asia was hoovering around Asia and consistently late in departing without notice to their passengers.

    These two mistatements are enough for the Minister to take actions against Air Asia and to warn Air Asia to stop making false public statements.

  18. Anonymous9:46 pm

    Silent minister Chan is most certainly right.......

    MAS is the undispite champion airline for not having it's own plane and whereas Air Asia is champion for teaching MAS how to suck eggs....


  19. Dato Chan Kong Choy
    Menteri Hal Ehwal AirAsia

    Saya ini seorang yang percaya kepada keupayaan tempatan, kebolehan tempatan dan produk tempatan.

    Bila saya diluar negara nak menaiki kapalterbang, saya nak cari kapalterbang Malaysia.

    Saya keliru antara naik kapalterbang Aseana atau AirAsia, entah kapalterbang negara mana yang saya naik.

    Saya rasa macam anih nak naik kapalterbang yang mempunyai gambar dan logo pasukan bola Manchester United ... oh ini kapalterbang untuk Ronaldo Cristinaldo dan Wayne Rooney, bukan kapalterbag Malaysia.

    Hai ... kalau nak pakai dua syarikat kapalterbang, janganlah pulak satu ditahan dan ditarik laluan jalan, manakala yang satu dibiar buat sesuka hati mereka?

    Hai ... kalau nak dua kapalterbang yang tahap pencapaian terletak pada keuntungan, kenapa pula rural air service yg tak untung di paksa untuk satu syarikat ambil?

    Hai ... mungkin tengok balik senarai pemegang saham (dalam laman bursa malaysia), yang mana satu banyak di pegang orang malaysia dan yang mana orang asing?

  20. Anonymous10:50 pm

    Yesssir! I can see ONE winner. And the winner is.....................................................
    SIA!!! Singapore Airlines! Because while Minister CKC gives whatever TF wants and take whatever MAS has, both will not be able to match SIA in the long term.

    I predict that in less than three years, Temasek will buy up a controlling stake in AA and rename it AAS, 0r AirAsia Singapore.
    And Malaysia Airlines will be a domestic carrier. But by then we'll have the double-barrel bullet train (which Temasek will also buy) and the most lucrative "domestic" route, KL-Singapore, will be restricted in order to protect the bullet train's interest.

    ONE winner, I agree.

  21. Anonymous10:57 pm

    look at our LRT system...3 different systems for KL and such small coaches each. 3 different ticketing systems, and three different workshops, technical staffs etc.
    wanna bet that in 5 years time, air asia will be asked to be the subsidiary of MAS and (or probably the other way around)all the directors and shareholders will be the winners and the customers the losers...

  22. Anonymous11:04 pm

    One should tell the Transport Minister that a national champion does not shirk its corporate social responsibilities of servicing the loss-making rural air services in the name of profitability.
    FAX may not be owned by AirAsia but co-owned by shareholders of the LCC.
    AirAsia has already screwed MAS big time, now FAX would be doing the same to Firefly.
    Doesn’t need a genius to see this.

    Fan of the Red Barn

  23. Anonymous12:59 am

    why does AA gets all these special treatment at taxpayers expense; afterall it is a private company. may be, one should look beyond the surface and see who's is really behind AA. the answer may be there for all to see then.

  24. Anonymous3:56 am

    Chan Kong Choy,

    We know you owned a big apartment in Australia.! TYou dare to tell me that it was not true. Don't try me, OK!

    As Minister of Transport, please declare whether you have any interest in Air Asia and FAX?

    It would appear to me that Air Aisa is always right but not MAS. Thereafter, Kalimulah will publish it big time to help Tony Fernandes.

    All my saudara and saudari, please be carefull and don't allow Chan Kong Choy, Tony Fernandes and Kalimullah take you for a ride.

    Lets examine Air Asia aduited accoutn and you will know how "healthy" Air Asia is?? Only Kalimullah, Wong Chun Wai and Khairy thought that Air Aisa is doing well and not other Malaysians.

    We know that it i s a matter time that Air aAsia will be down the drain and members of public will suffer.

    Chan Kong Choy please tell us what is your interest in Air Asia and FAX. Please do not tell us that "you are also another "Mr I Do Not Know".

  25. I say, let them compete. I think we should have as many champions as possible. Let the consumer decide.

  26. Anonymous10:50 pm

    And now MAS will have the rural air transport back from AirAsia's Fax. The last time the Govt. compensated MAS hundreds of millions of ringgit when it awarded the rurdl air service to Tony Fernandes. MAS used a huge part of the compensation to pay for the VSS scheme when it laid off workers upon arrival of Idris Jala. Now AirAsia is giving back the rural air service to MAS (firefly because it seems Tony Fernandes has realised that its a money losing proposition. Question is, will MAS pay the Government (taxpayers) back the compensation it already took earlier??

  27. Anonymous1:32 pm

    all arguement have been said here. for me as a frequent flyer,I just want real low fare. can or not? MAS and Airasia fare are not low. Maybe we need a third national airline. Anyone entrepreneur up for it?

    malaysian businessman